WCA May 2016

Industry news

Capacity increase at joint venture

KOBE Steel Ltd and partners Sugita Wire Ltd and China’s Fasten Group have agreed to increase the production capacity of their Chinese joint venture that processes special steel wire rod into wire. The joint venture, Jiangyin Sugita Fasten Spring Wire Co Ltd (also called JYSF), will install high-frequency induction tempering equipment and another wire drawing machine to produce oil-tempered wire at its plant in Jiangyin, Jiangsu Province. Plans call for mass production to start in October 2016. JYSF was established in 2005 to produce and sell oil-tempered wire for cold-coiled suspension springs. Full-scale operation began in 2007. JYSF has been providing a stable supply of this high-quality wire in China, where the automotive market is anticipated to grow over the medium to long term. As the need for lighter automobiles increases due to stricter environmental regulations, demand for advanced oil-tempered wire for cold-coiled suspension springs is anticipated to expand in the future. The installation of induction tempering equipment will make possible rapid quenching and tempering to produce high-strength wire. Jiangyin Sugita Fasten Spring Wire Co Ltd – China Website : www.jysf-otw.com ❍ The JYSF plant in Jiangyin, Jiangsu Province, China Steep increase in profits CMI Limited, a speciality cables manufacturer, has announced its unaudited financial results for the quarter ended 31 st December 2015. The revenues are at Rs 66.44 Cr in Q3 2015-2016 as against Rs 36.78 Cr in Q3 of 2014-15, showing an increase of 80.66 per cent. The revenues have also increased by over 15 per cent on a QoQ basis, up from Rs 57.57 Cr in Q2 2015-16. The Profit after Tax (PAT) at Rs 4.81 Cr in Q3 2015-2016, against Rs 2.01 Cr in Q3 of 2014-15, marks an increase of 139 per cent in profitability. The PAT has also increased by over 19.66 per cent on a QoQ basis, up from Rs 4.02 Cr in Q2 2015-16. CMI Ltd – India Website : www.cmilimited.in

10

www.read-wca.com

Wire & Cable ASIA – May/June 2016